Austria: Industrial output growth picks up steam in May
Industrial output increased 2.1% in month-on-month seasonally-adjusted terms in May, which was an improvement from April’s 0.5% increase. The figure was driven by rebounding intermediate and durable goods production, while output of non-durable goods accelerated.
On an annual basis, industrial production rose at a quicker rate of 11.4% in May (April: +7.7% yoy). Meanwhile, the trend pointed down, with the annual average growth of industrial production coming in at 9.0%, down from April’s 9.6%.
Analysts at the EIU commented:
“We expect the war in Ukraine to have a significant impact on Austria. EU sanctions on Russian lenders will hit Austrian banks’ profits. With the war disrupting supply chains and pushing up energy prices, the manufacturing sector will also suffer. […] The manufacturing sector is export-oriented and highly integrated into cross-border supply chains, in particular with Germany.”